How Effective Communication Skills Affect Business

Communication is key.

No matter where an employee falls in the organizational hierarchy, communication skills are vital to succeed, lead, manage, sell, collaborate, etc. Every email someone sends, phone call someone makes, or conversation someone has utilizes communication skills.

Communication plays a role in every facet of a business, from customer service to employee management, from entry-level employees all the way up to C-suite team members, and both internally and externally.

Organizations with effective communication skills have leaders who can provide consistent, timely, and honest information to their employees, help establish their organization’s brand, and create messaging that aligns with the mission and culture.

Where communication skills really come into play is with developing relationships. Every conversation between people is a building block to that relationship. C-suite members meet with shareholders, benefactors, customers, and employees. Managers meet with employees to discuss projects, give feedback, and disseminate information daily. Sales and customer services teams communicate with clients via phone call or site visit.

This also applies to daily conversations between employees, one-on-ones, team meetings, town halls, and company-wide emails. These skills will help develop trust and loyalty from the C-suite down to the customer.

How Poor Communication Skills Affect Business

Ineffective communication has a negative effect on an organization. It increases the likelihood of misunderstandings, customer relationships can suffer, and there could be increased anger and hostility.

Productivity rates can suffer since employees have lower morale – feeling unmotivated or disgruntled could lead to employees spending work time on non-work activities or complaining with colleagues.

There could be a higher frequency of missed deadlines, absenteeism, and turnover. Employees that don’t feel motivated may slack off, call off, or begin looking for a new position.

Almost everything about a business comes full circle, starting with the owner, moving to the employees, and ending with the customer. Good service is either a happy outcome or sad casualty of an organization’s communication skills.

Productivity and Communication

The success of any company is determinate on the efficacy and productivity of employees. This is where training comes in. Employees that are educated, well-trained, and knowledgeable will be better equipped in their day-to-day work to make decisions, relate to their peers, think critically, and more.

Developing communication skills offers many benefits:

Helps reduce misunderstanding and mistakes
When all employees are on the same page, rather than making assumptions or guessing, the work they produce will be more accurate.

Aids in problem solving
Productive communication in the workplace enables employees to solve problems more quickly. When faced with an issue, it’s much easier to speak clearly to assess and sort out the problem.

Ensures better collaboration and teamwork
Interacting regularly can help employees to work better together. Open communication can help resolve issues between different departments within the company.

Boosts idea generation and innovation
If employees know what matters to an organization, they can develop ideas for improvements and spot chances to be innovative along the way, and clearly explain how to implement those ideas.

Preview Videos from The BizLibrary Collection

Communication Toolkit: Corresponding via Email

This video guides learners in their email communications and teaches when email is the best medium to use - and when it isn’t. It also reviews key concepts to keep top of mind when constructing email messages.

Nonverbal Communication: How to Put Your Best Foot Forward

This vide provides tips on how to best leverage nonverbal communication at work as well as how to be approachable, how to exude confidence, and more.

Respect at Work: Active Listening

This video helps learners fully engage in conversations with others by looking at good and bad examples of listening in the workplace. It also shares some tips for becoming a better active listener.
These are just a few examples from our online employee training library - click the button to explore more business skills videos from The BizLibrary Collection! BROWSE LIBRARY

Types of Communication

There are three main types of communication: verbal, nonverbal, and written.

Verbal communication is the most common type of communication and encompasses speaking and sign language. It is used daily in everything from meetings to presentations to conversations. It is efficient and can be enhanced by both nonverbal and written communication.

Nonverbal communication relates to body language, gestures, and facial expressions someone does – intentionally or unintentionally – to convey information to others. This could be a smile when someone likes an idea or crossed arms if someone is felling anxious. Nonverbal communication is helpful when trying to understand others’ thoughts and feelings on a topic or idea.

Written communication encompasses words, typography, or symbols to convey information and acts as a record of information. It is most utilized in books, blogs, and emails. As technology takes over, online messaging is also a common forms of written communication in the workplace.

Why Training Works for Improving Communication Skills

Online training is quickly becoming the best way to teach employees some of the skills they need to do their jobs. Numerous studies have shown that online training is often more effective, and learners retain more information than with classroom training alone.

BizLibrary curates a large and diverse video training library with numerous courses focused on developing all types of communication skills. Our micro video format breaks content up into smaller, more manageable chunks, making it easier for employees to learn and apply these skills on the job.

Explore more
of our business
skills topics.


Employees can search our library for the online courses they want to see on ways to improve their communication skills, whether its verbal, nonverbal, or written.

These online courses can be viewed on an individual basis – where employees learn by themselves at work or at home – or as part of a group training environment or discussion. They also utilize modern learning strategies that engage learners and reinforce content, so the information isn’t forgotten.

Tarrant Regional Water District (TRWD) came to BizLibrary after being with a different LMS provider that didn’t really work for them. All their training had to be tracked manually on a sign-in sheet that they sometimes couldn’t find. Also, their upper-level management training happened off-site through classes and seminars.

They sought courses to help develop the skills to communicate effectively and conduct difficult conversations. With us they found an easyto-use, simple system that employees could integrate into their day-to-day schedule.

TRWD’s program, TRWD University, is primarily a voluntary training resource – 89% of all course completions are voluntary, either from employees seeking knowledge on their own, or employees who have been tasked with addressing a skill gap.

Communication skills, conflict resolution, and having difficult conversations, among other communication-related topics, make up 67% of all completed trainings at TRWD.

By partnering with BizLibrary and creating a centralized hub for training, tracking, and managing their education, TRWD has helped
transform their culture to one of engagement and collaboration through learning and development.

Learn how
BizLibrary’s online
learning solutions can
transform training in
your organization.